U.S. Average Gas Price Tops $3 A Gallon

For motorists planning a holiday on the road, it's a lump of coal in their stocking. For the first time in two years, the national average price of a gallon of gas is over $3.

According to AAA's daily Fuel Gauge Survey, which tracks gas prices in all 50 states, the average price of self-serve regular today is $3.013 a gallon, up from $2.997 Wednesday. Prices have been climbing over the last several weeks, following the rising price of crude oil, which rose above $90 a barrel Wednesday.

The national average price of diesel fuel has long been over $3 a gallon -- hitting $3.27 today.

The average gas price has not topped $3 a gallon since early October 2008, when prices were in the midst of a collapse, brought on by the credit meltdown and deepening recession. Though gasoline prices topped $4 a gallon in July 2008, they have never been over $3 this late in the year.

Rising demand

Analysts say prices are rising now because crude oil prices have gained unusual late year momentum. They attribute that to U.S. Federal Reserve policy that is expected to weaken the dollar's value and a stronger than expected rise in global demand.

Once you factor in the unusually cold weather in Europe and North America, energy demand is even greater. In its latest report, the Energy Information Administration said U.S. oil stockpiles fell by more than five million barrels last week, drawing down supplies to the lowest level since February 19.

As a result, motorists in many states are finding prices at the pump 40 cents or more than they were at this time last year. In 27 states, the average price is now above $3 a gallon.

The states with the most expensive gasoline today are:

• Hawaii ($3.636)
• Alaska ($3.533)
• California ($3.281)
• New York ($3.271)
• Connecticut ($3.234)
• Washington ($3.173)
• Illinois ($3.151)
• Maine ($3.120)
• Vermont ($3.064)
• Oregon ($3.058)

 The states with the least expensive gasoline today are:

• Colorado ($2.755)
• Wyoming ($2.790)
• Utah ($2.814)
• Oklahoma ($2.833)
• Missouri ($2.840)
• South Carolina ($2.842)
• Texas ($2.852)
• New Mexico ($2.857)
• Tennessee ($2.866)
• Mississippi ($2.867)